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Air India SATS Airport Services (AISATS) has introduced short-term Warehousing Solution (STW) at its BLR Logistics Park, offering freight forwarders and shippers flexible storage for urgent, last-minute and temporary cargo requirements. Designed for both general and temperature-controlled cargo, the solution enables customers to access storage on demand, with rental periods starting from just one day and no long-term lease requirements.
Within its first year of operations, the AISATS BLR Logistics Park witnessed strong market traction and is on track to achieve full occupancy, underpinned by a compelling total cost of ownership proposition for customers. Spread across eight acres, the integrated facility brings together Grade A warehousing, a customs-bonded warehouse, a consolidation centre, cold storage, office spaces and a suite of value-added logistics services within a single ecosystem.
In addition to storage, customers can access cargo inter-shuttle services, packing and labelling support, dedicated manpower, forklift service and other cargo facilitation services, making the Logistics Park a one-stop solution for their end-to-end warehousing and logistics requirements. Strategically located in close proximity to the airport and with seamless access to NH44, the facility helps significantly reduce transit times and transportation costs by eliminating the need to move cargo to off-airport warehouses located 40-50 kilometres away.
The facility has attracted leading multinational logistics companies, including DHL, DSV, FedEx, Kuehne+Nagel, CEVA Logistics etc. which have established operations at the Logistics Park. The new STW extends these capabilities to mid-sized and smaller freight forwarders, shippers and businesses with occasional storage requirements.
Instead of leasing dedicated warehouse space for extended periods, customers can access the facility on a short-term basis, according to their flexible needs. The solution is particularly relevant during peak cargo periods such as Diwali, Christmas and New Year, as well as for project cargo and oversized or specialised consignments. Recently STW solution was used to store odd-sized medical equipment that required special care, and special chemicals and pharmaceutical ingredients at its common user cold storage facility.
Commenting on the development, Salim Chaudhary, Chief Operations Officer, AISATS, said, “The AISATS BLR Logistics Park was developed to address Bengaluru’s evolving air cargo and logistics requirements through world-class, integrated infrastructure. The response from the market has been extremely encouraging, with occupancy already reaching 70%, reflecting the strong value proposition and cost efficiencies the facility offers. As cargo volumes grow, we are witnessing increasing demand for flexible storage solutions, particularly for urgent, short-duration and specialised cargo requirements. Our Short-term Warehousing Solution has been introduced to address this need, enabling freight forwarders and shippers to access premium warehousing infrastructure on demand, without the constraints of long-term commitments.”
With demand being driven by high-value sectors including electronics, semiconductors, engineering goods, aerospace and pharmaceuticals, the AISATS BLR Logistics Park is well-positioned to play a critical role in supporting the region’s evolving supply chain and logistics requirements.
𝐒𝐭𝐚𝐲 𝐓𝐮𝐧𝐞𝐝 𝐭𝐨 CARGOCONNECT 𝐟𝐨𝐫 𝐥𝐚𝐭𝐞𝐬𝐭 𝐮𝐩𝐝𝐚𝐭𝐞𝐬!
Air France-KLM Martinair Cargo (AFKLMP Cargo) is witnessing strong growth in its air freight business as global supply chain disruptions and rising demand for artificial intelligence (AI) infrastructure shipments encourage shippers to move time-sensitive cargo from sea to air. The trend has strengthened the group's cargo performance in the third quarter of 2026, with demand continuing to outpace available capacity. The cargo division reported a 25.2% year-on-year increase in third-quarter revenue to €677 million, while cargo traffic revenue climbed 24.9% to €566 million. Total cargo volumes increased 5% to 236,000 tonnes, while traffic, measured in revenue tonne-kilometres (RTK), grew 8%. Capacity expanded by a comparatively modest 2.3%, taking the cargo load factor up 2.4 percentage points to 46%. The airline attributed the improved performance to disruptions along key maritime trade routes, particularly around the Suez Canal and Strait of Hormuz, which prompted shippers to shift urgent and high-value consignments to air freight. Additionally, growing demand from AI-related supply chains, including infrastructure and technology shipments, has tightened global air cargo capacity. These developments have enabled the group to secure additional volumes and full-freighter charter opportunities, supporting yields across its network. Alongside the demand-led growth, KLM is restructuring its cargo handling operations at Amsterdam Schiphol Airport. The airline plans to consolidate freight carried on both passenger aircraft and freighters within its own warehouse. The move is aimed at simplifying processes, increasing automation and improving workforce productivity, allowing higher cargo volumes to be managed without additional recruitment. The consolidation will also prepare KLM Cargo for a new cargo terminal planned for completion in 2035, while strengthening Schiphol's potential to attract transfer cargo. KLM intends to expand support services for customers as part of the operational changes. The developments underline how changing global trade patterns, technology-driven demand and operational automation are reshaping the air cargo sector. For AFKLMP Cargo, the ability to respond to shifting freight flows while improving handling efficiency will remain central to sustaining growth. 𝐒𝐭𝐚𝐲 𝐓𝐮𝐧𝐞𝐝 𝐭𝐨 CARGOCONNECT 𝐟𝐨𝐫 𝐥𝐚𝐭𝐞𝐬𝐭 𝐮𝐩𝐝𝐚𝐭𝐞𝐬!
Global air freight rates recorded a marginal decline in the week ending November 2, 2026, even as demand remained resilient and pricing levels continued to stay significantly above those of the previous year. According to the latest data from TAC Index, worldwide air freight rates fell 1.1% week on week but remained 22.8% higher year on year, reflecting sustained demand, elevated jet fuel costs and ongoing capacity constraints during the traditional fourth-quarter peak season. The global Baltic Air Freight Index (BAI00) registered the weekly decline, although rates remained above the highest levels recorded during the previous two peak seasons. With several weeks of the year-end peak period still remaining, the market continues to experience firm pricing conditions. Asia-Pacific Markets Show Mixed Performance Air freight rates across major Asian markets displayed varied trends. Outbound rates from Hong Kong increased 0.7% during the week, taking the index 28% above its year-ago level. Shanghai recorded a stronger weekly increase of 2.8%, with rates standing 14.4% higher year on year. Rates from India also firmed slightly on both Europe- and US-bound routes, with year-on-year increases reaching approximately 80%. This highlights the continued strength of demand for Indian air cargo capacity. In contrast, rates from China to Europe experienced a slight decline, partly reflecting weaker shipment volumes following the European Union's removal of the de minimis exemption for low-value parcels in July 2026. Transpacific routes to the US, however, continued to register strong rate increases. European outbound markets also experienced mixed movements. Frankfurt's outbound index declined 6.5% week on week, while London's Heathrow index dropped 23.2%. Despite these corrections, both remained substantially higher than their levels a year earlier. Spot Rates Reflect Tight Capacity Conditions A separate assessment by WorldACD Market Data highlighted the continued upward pressure on spot prices. Global air cargo spot rates increased 5% in the week ending October 25, reaching US$3.80 per kg, representing a 38% year-on-year increase. Full-market rates, combining spot and contract prices, rose 3% to US$3.33 per kg, up 31% annually. Global cargo tonnages declined 2% week on week, while capacity slipped 1%. The contrasting weekly movements reflect different reporting periods and pricing indices rather than a reversal in the broader market trend. Peak Season Outlook With Diwali, Thanksgiving, Black Friday and Christmas driving seasonal shipment activity, air cargo operators and freight forwarders face continued pressure to secure capacity. Elevated fuel costs, geopolitical uncertainties and shifting trade flows are further influencing pricing across major international corridors. Despite the modest weekly correction reported by TAC Index, strong year-on-year rate increases indicate that the global air freight market remains firm. Capacity availability and demand patterns over the coming weeks will be crucial in determining how rates evolve through the remainder of the peak season. 𝐒𝐭𝐚𝐲 𝐓𝐮𝐧𝐞𝐝 𝐭𝐨 CARGOCONNECT 𝐟𝐨𝐫 𝐥𝐚𝐭𝐞𝐬𝐭 𝐮𝐩𝐝𝐚𝐭𝐞𝐬!
Lufthansa Cargo has completed its acquisition of LUG aircargo handling GmbH, strengthening its cargo handling infrastructure in Germany and adding capacity to support future growth. The transaction was finalised after receiving all required antitrust approvals, making LUG a wholly owned subsidiary of Lufthansa Cargo. The agreement to acquire LUG from the Dettmer Group was signed on 7 September 2026. The completion marks a strategic step in Lufthansa Cargo’s efforts to expand its operational capacity, improve flexibility and strengthen its competitiveness in the German air freight market. LUG To Retain Its Brand and Customer Relationships Despite the change in ownership, LUG will continue to operate as a separate company under its existing brand within the Lufthansa Cargo group. Its current customer contracts and business relationships will remain unchanged, and the company will continue providing cargo handling services to other airlines. Maintaining its third-party customer base is an important part of LUG’s business model. The integration into Lufthansa Cargo is also expected to create new growth opportunities, allowing the handler to build on its established expertise, strengthen its service capabilities and explore additional business prospects. Frank Bauer, Chief Operations Officer of Lufthansa Cargo, said the acquisition would provide greater flexibility and support further growth in the company’s home market. He also highlighted the experience and technical knowledge of LUG’s employees as valuable assets for the continued development of both businesses. Strengthening Cargo Handling Infrastructure in Germany LUG brings more than 60 years of experience in air cargo handling and employs approximately 400 people. Its expertise spans multiple cargo categories and the operational requirements of international airlines, supported by long-standing customer relationships. The company’s existing infrastructure includes around 50,000 sq m of covered warehouse space in Germany, along with approximately 18,000 sq m of office and other infrastructure space. These facilities and capabilities will complement Lufthansa Cargo’s existing handling network, providing additional capacity to accommodate future demand. The acquisition also aligns with Lufthansa Cargo’s ongoing infrastructure modernisation programme at Frankfurt Airport. Under its LCCevo initiative, the company is investing approximately €600 million to modernise its cargo facilities and strengthen operational capabilities. By combining the additional handling capacity from LUG with investments in its own infrastructure, Lufthansa Cargo aims to build a stronger foundation for reliable cargo operations and profitable growth. The move is expected to enhance operational flexibility while supporting the needs of customers across its air freight network. As demand for efficient air freight services continues to shape the logistics industry, the acquisition strengthens Lufthansa Cargo’s control over its handling infrastructure while preserving LUG’s established position as a service provider to multiple airlines. 𝐒𝐭𝐚𝐲 𝐓𝐮𝐧𝐞𝐝 𝐭𝐨 CARGOCONNECT 𝐟𝐨𝐫 𝐥𝐚𝐭𝐞𝐬𝐭 𝐮𝐩𝐝𝐚𝐭𝐞𝐬
